Labour party

Gordon Brown and Alistair Darling will launch their umpteenth fight back today by talking tough on banks and bonuses. They hope to prove the Conservatives are interested solely in “helping their rich friends”. The Times has the details: ‘The Chancellor will tell the party conference in Brighton that legislation to be introduced in the next few weeks will scrap automatic year-after-year bonuses and stop executives getting payouts unless they can prove they are deserved. Bonuses will be deferred over a period so that they can be clawed back if they are not warranted by long-term performance.’ This is not a dividing line.

The Conservative party’s seizure of the progressive agenda and the rhetoric of liberal democracy suggests that Cameron intends to build a broad coalition. But how large would the Tories’ tent be? Peter Mandelson reveals that he would have no trouble “serving his country” under a Conservative government. ‘In an interview with The Sunday Times magazine, the business secretary said he would be willing to put his “experience at the disposal of the country”, if Labour lost power. “As I grow older, I can imagine more ways of serving my country than simply being a party politician,” he said.

Today’s papers give us an idea of what Labour’s new dividing line with the Tories is going to be. Labour will find money for eye-catching but not too costly initiatives such as the cancer pledge that the papers have reported on this morning. These pledges will be financed by taking money from the less sexy parts of departmental budgets. Labour will then ask, as Pete noted Ed Balls doing today, how the Tories can match this spending when they are committed to paying down the deficit faster than the government and to reversing several of Labour’s tax rises.

I was a panelist on Question Time last night, and it started me thinking about how they will handle the BNP episode – which I expect fairly soon. Make no mistake, a Question Time slot is as big for the BNP as winning seats in Europe. When I was on the campaign trail with them for a cover story in June, I noticed how they would refer to Question Time as a goal – almost as much as getting to Brussels. It represents one thing: the political mainstream. With two MEPs and almost a million voters the BNP have a legitimate claim to that Question Time panel. For them, it is totemic. It will be an historic moment – and one which could work to the BNP’s favour.

The news that Max Clifford is now involved in publicising the story of Baroness Scotland and the illegal cleaner is another blow to an already bruised Labour party. One of the last things that it needs is the beginning of its conference being overshadowed by a story that combines the two toxic issues of political hypocrisy and immigration violations.

Nick Clegg started the Lib Dem conference with an interview calling for ‘savage cuts’ in public spending and ended it with a speech trying to position the Lib Dems as the main party of the left in Britain. That pretty much sums up the strategic incoherence of this conference which has left the Lib Dems worse off than they were before.   The Lib Dems have had an awful week for several reasons. First, they haven’t done the basics well—putting Clegg up against Obama was hardly clever programming and not informing every spokesperson of policy announcements before the media was told was bound to cause trouble. (How no one thought to tell Julia Goldsworthy of a change that so dramatically impacted on her brief is beyond me).

Every Tory I have spoken to this week has said the same thing, ‘aren’t the Lib Dems having a terrible time.’ The Tories are particularly happy because they see the Lib Dems’ credibility on economics taking a battering thanks to the total confusion over Cable’s proposed new tax on million-pound homes. They also think that the new Lib Dem policy will hurt the Lib Dems in a lot of the Southern seats the Tories are trying to win—Richmond, Winchester, Meon Valley and Taunton—as well as in three way marginals like Hampstead and Kilburn.   The other thing that is putting a smile on Tory faces is the Lib Dems downgrading their pledge on tuition fees.

The new ICM poll for The Guardian shows the Tories in an extremely strong position heading into conference season. They are on 43 percent, 17 points ahead of Labour. The extent of Labour’s fall since the last election is illustrated by the fact that only 47 percent of those who voted for the party then intend to do so again. Indeed, even 40 percent of those who have remained loyal to Labour now expect a Tory victory at the next election. The poll also shows that Labour is not seen as credible on the state of the public finances by the electorate. Only 14 percent of voters believe that Labour is “telling the voters the truth about the size of the problem facing government finances.